Life Insurance Awareness Month: Secure Your Family’s Future This September!

Each year in the month of September, the financial services industry, guided by organizations like the nonprofit Life Happens, promotes Life Insurance Awareness Month (LIAM). This is a campaign that was created to show how life insurance can be very helpful in protecting your family's financial future. Whether you’re looking to protect your loved ones from the unexpected or build a strong foundation for their security, LIAM is the perfect time to learn how life insurance plays a vital role for what matters most.

You know better than anyone what your spouse and children need to maintain their quality of life if you, as the breadwinner, are no longer there to provide for them. One important step you can take is to reach out to our office and schedule a time to learn about available resources. Farmers Insurance offers D.I.M.E. (Debt, Income Replacement, Mortgage, and Expenses). This straightforward needs analysis helps you to determine the right amount of life insurance coverage that you may need.

D.I.M.E Life Insurance Needs Analysis accounts for debts like:

• Credit Cards
• Auto loans
• Home Mortgage
• Unpaid bills
• Future Expenses
• College Tuition
• Living costs and final expenses

Why Waiting to Get Life Insurance Puts You at a Disadvantage

Many people put off purchasing life insurance, assuming there’s always more time. However, according to research by nonprofits LIMRA and life happens, nearly 31% of people who don't have life insurance admit they need it. What they often overlook is the cost of waiting.

Here’s why acting now can save you:

Premiums On Life Insurance Will Increase As You Get Older  

• The younger you are the lower your premiums. As you age, those costs become way more expensive to afford. Getting a lower rate now ensures you pay less over the long term, making a solid case for buying life insurance early.

Manage Future Insurability

• Your health and lifestyle directly affects your life insurance premium. As you get older, health issues may arise, leading to higher costs or, in some cases, ineligibility. By purchasing now, you secure coverage while you’re still in good health. Your future self will appreciate it!

Younger Individuals Face Risks Too

Even if you are young, you may have dependents or financial liabilities such as:

1. Student loans
2. Aging parents with health issues
3. Younger siblings
4. Additional family members to care for in the home

If something were to happen to you unexpectedly, life insurance can help cover these responsibilities and protect your loved ones from financial hardship.

If you're reading this and thinking, "These are all great reasons to contact one of our insurance agents, but I don’t need to because of a few common misconceptions," think again.

Misconception #1: My employer-provided life insurance is enough

Employer plans are often more expensive and may not provide the coverage you need. It’s worth exploring additional options to make sure of your family’s protection.

Here are four reasons why relying solely on life insurance through your employer may not be dependable:

1. Limited Coverage: Employer-provided life insurance often offers minimal coverage, which may need to be more to fully protect your family or cover long-term financial needs.
2. Loss of Coverage with Job Changes: If you leave or lose your job, you typically lose the life insurance coverage, leaving you unprotected during transitions.
3. No Customization: Employer plans are often one-size-fits-all, meaning they may not suit your personal or family-specific financial needs, such as covering debts, mortgage, or education costs.
4. Higher Costs for Additional Coverage: Increasing coverage through employer-sponsored plans can be more expensive than purchasing an individual life insurance policy, especially as you age or if your health changes.

If you're still thinking, "Yes, but I'm not sure I can afford this right now with the current cost of living."

Here are four good reasons why high cost of living and affordability shouldn't stop you from getting insurance:

1. Financial Protection Against Uncertainty: In a high-cost-of-living area, unexpected expenses—like medical emergencies, accidents, or property damage—can be even more devastating. Insurance helps you manage these risks and avoid financial ruin.
2. Customized Coverage Options: Many insurance policies offer flexible payment options and coverage levels, allowing you to find a plan that fits your budget without compromising on essential protection.
3. Avoiding Larger Future Costs: Skipping insurance to save money now can lead to much more significant financial burdens later. Recovering from an uninsured loss is often far more expensive than paying insurance premiums.
4. Peace of Mind: Living in a high-cost area can be stressful, but having insurance gives you the security of knowing you and your assets are protected, providing peace of mind in uncertain times.

Get life insurance before it's too late; your family's lifestyle depends on your decision today. Our licensed professional insurance agents are happy to help you get the best policy for your needs.